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Trustees of the Suburban Teamsters of Northern Illinois Pension Fund v. Bolingbrook Redi-Mix Co., 15 C 2690. (2016)

Court: District Court, N.D. Illinois Number: infdco20160713955 Visitors: 5
Filed: Jun. 07, 2016
Latest Update: Jun. 07, 2016
Summary: MOTION FOR DEFAULT JUDGMENT IN SUM CERTAIN JEFFREY T. GILBERT , Magistrate Judge . NOW COMES the Plaintiff, TRUSTEES OF THE SUBURBAN TEAMSTERS OF NORTHERN ILLINOIS PENSION FUND, by and through its attorneys, and, in their Motion for Default Judgment in Sum Certain, state as follows: 1. Plaintiff filed its Complaint against Defendants on March 30, 2015. 2. Defendants answered the Complaint on June 5, 2015. 3. Following various discovery exchanges and discovery motions, on March 28, 2016,
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MOTION FOR DEFAULT JUDGMENT IN SUM CERTAIN

NOW COMES the Plaintiff, TRUSTEES OF THE SUBURBAN TEAMSTERS OF NORTHERN ILLINOIS PENSION FUND, by and through its attorneys, and, in their Motion for Default Judgment in Sum Certain, state as follows:

1. Plaintiff filed its Complaint against Defendants on March 30, 2015.

2. Defendants answered the Complaint on June 5, 2015.

3. Following various discovery exchanges and discovery motions, on March 28, 2016, this Court ordered the submittal of a joint plan by the parties to complete discovery.

4. On April 28, 2016, defense counsel moved to withdraw.

5. The Court granted defense counsel's withdrawal motion based, in part, on her representation that she warned Defendants' principals that Defendants could not appear pro se and potentially faced a default judgment if they did not obtain new counsel.

6. The Court afforded Defendants until June 6, 2016 to appear by new counsel.

7. Defendants have failed to appear through new counsel by June 6, 2016 and are in default.

8. Defendants admitted in their Answer to the Complaint that the withdrawing employer, BOLINGBROOK REDI-MIX, owed $2,475,942.00 in complete and partial withdrawal liability. Defendants further admit this liability by their present default.

9. By their default, Defendants ROUTE 66 CONSTRUCTION COMPANY, SJR LEASING & MANAGEMENT COMPANY, FOUR BEAT FARM, LLC, R.A. BRIGHT CONSTRUCTION, INC. admit they are part of BOLINGBROOK REDI-MIX's controlled group.

10. By their default, Defendants ROUTE 66 CONSTRUCTION COMPANY, SJR LEASING & MANAGEMENT COMPANY, FOUR BEAT FARM, LLC, R.A. BRIGHT CONSTRUCTION, INC. admit they are BOLINGBROOK REDI-MIX's alter egos.

11. Per the affidavit of John J. Toomey (Exhibit A), Plaintiff has incurred $28,412 in attorneys' fees and costs in this litigation as mandated by 29 U.S.C. 1451(6) Central States Pension Fund v. Hays, 798 F.Supp. 1430, 1437 (N.D. Ill. 1991).

WHEREFORE, Plaintiff request this Court to enter the Order attached to this Motion as Exhibit B.

Respectfully submitted, TRUSTEES OF THE SUBURBAN TEAMSTERS OF NORTHERN ILLINOIS PENSION FUND By: _______________________________ One of Its Attorneys JOHN J. TOOMEY ARNOLD AND KADJAN, LLP 203 N. LaSalle St., Ste. 1650 Chicago, Illinois 60601 (312) 236-0415

DECLARATION OF JOHN J. TOOMEY

John J. Toomey, subject to the laws of perjury and pursuant to 28 U.S.C. § 1746, states as follows:

1. I am John Joseph Toomey, a licensed Illinois attorney admitted to the Bar in November 1978. Presently, I am admitted to practice before the United States Supreme Court, the United States Court of Appeals for the Seventh, Second, Eighth and Eleventh Circuits; United States District Court for the Northern District of Illinois Trial Bar, the Central District of Illinois, and the U. S. Tax Court.

2. I am currently a partner at the law firm of Arnold and Kadjan, LLP where I have worked for over thirty years. Arnold and Kadjan, LLP's practice is focused on labor law and ERISA matters.

3. My associate on the case, Andrew S. Pigott, was admitted to the bar in November 2002, and has been an Arnold and Kadjan, LLP attorney since August 2010. He is a former law clerk to Justice Joseph Gordon of the Illinois Appellate Court, and Justice Thomas Kilbride of the Illinois Supreme Court.

4. In my capacity as an Arnold and Kadjan, LLP attorney, I have handled hundreds of ERISA collection cases for our Union Funds clients, and in excess of twenty withdrawal liability cases.

5. The instant case was more complex than most withdrawal liability cases, raising questions of the application of IRS attribution rules, as well as the scope of the arbitration requirement under the MPPAA.

6. Arnold and Kadjan, LLP charged the Plaintiffs $185.00 per hour through October 2015, and $250.00 per hour thereafter. Said rate is reasonable and commensurate with rates charged in the Chicagoland market for labor attorneys with comparable experience performing Federal litigation.

7. Plaintiffs regularly pay Arnold and Kadjan, LLP's hourly rates, which are well within the market-norm for work on ERISA collection and withdrawal liability cases.

8. Arnold and Kadjan, LLP has billed Plaintiff for 155.60 hours totaling $28,412 in attorney fees and costs for its work in this matter.

9. Attorneys fees are mandated under 29 U.S.C. 1132(g) in ERISA collection actions in general and particularly in withdrawal liability actions under 29 U.S.C. 1141(b).

FURTHER AFFIANT SAYETH NOT.

_________________________ JOHN J. TOOMEY JOHN J. TOOMEY ARNOLD AND KADJAN, LLP 203 N. LaSalle Street, Suite 1650 Chicago, Illinois 60601 (312) 236-0415

ORDER OF JUDGMENT

THE CAUSE coming before the Court on Plaintiff's Motion for Default Judgment in Sum Certain, due notice given, and the Court fully advised in the premises, the Court makes the following findings:

Plaintiffs filed their Complaint against Defendants on March 30, 2015, and Defendants answered on June 5, 2015. Following various discovery exchanges and discovery motions, on March 28, 2016, this Court ordered the submittal of a joint plan by the parties to complete discovery, but on April 28, 2016, defense counsel moved to withdraw. The Court granted defense counsel's withdrawal motion based, in part, on her representation that she warned Defendants' principals that Defendants could not appear pro se and potentially faced a default judgment if they did not obtain new counsel. The Court afforded Defendants until June 6, 2016 to appear by new counsel. Defendants have failed to obtain new counsel within the time afforded by the Court. Defendants by their failure to procure new counsel have abandoned their defenses in this case.

WHEREFORE, THE COURT ORDERS:

Defendants, BOLINGBROOK REDI-MIX CO., a dissolved Illinois corporation, ROUTE 66 CONSTRUCTION COMPANY, SJR LEASING & MANAGEMENT COMPANY, and FOUR BEAT FARM, LLC, are in DEFAULT. Plaintiffs allegations against the defaulting Defendants are therefore deemed ADMITTED That the imposition of attorneys fees and costs are mandated by 29 U.S.C. 1341(b).

WHEREFORE, Judgment is entered in favor of Plaintiffs and against Defendants, BOLINGBROOK REDI-MIX CO., a dissolved Illinois corporation, ROUTE 66 CONSTRUCTION COMPANY, SJR LEASING & MANAGEMENT COMPANY, and FOUR BEAT FARM, LLC, jointly and severally, in the amount of $2,504,354 including attorneys fees and costs,

SO ORDERED.

Source:  Leagle

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